Themanagement gaprefers torisks that are known but not yet actively managed. This could includeESG risks that companies acknowledge but have not integrated into their governance or risk management processes.
Unrated credit positions (B) are a separate riskrelated to credit ratings.
All risks (A) can technically be managed, but some may beneglected due to lack of prioritization or resources.
[References:, CFA Institute ESG Risk Management Guide, MSCI ESG Credit Risk Research, Principles for Responsible Investment (PRI) ESG Governance Framework, ========, , ]
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